with the given info, what is the owners economic profit for his business for year 1?...
Homework Answers
Income foregone are as follows:
Current income = $45000
Interest earning on capital = 5%*500000 = $25000
Now,
Accounting profit in year 1 = $70000
So,
Economic profit = Accounting profit - foregone income = 70000 - (45000 + 25000)
Economic profit = $0
So, economic profit will be 0.
It is also done in excel sheet as follows:
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with the given info, what is the owners economic profit for his
business for year 1?...
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Select ] ["price", "abundance", "intrinsic value",
"scarcity"] that
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["scarcity", "water", "a diamond"] more valuable and hence
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1. Given the Water-Diamond Paradox its generally [
Select ] ["price", "abundance", "intrinsic value",
"scarcity"] that
makes the consumption of an additional unit of [ Select ]
["scarcity", "water", "a diamond"] more valuable and hence
the willingness to pay high prices for it.
2.
3.
Interest is paid to[ Select ] ["laborers", "the owners
of land", "entrepreneurs", "the owners of capital"]
Rent is paid to the [ Select ] ["the owners of land",
"the owners of...
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